Shiba Inu price declined sharply on Tuesday, taking cues from the market leader, Bitcoin and mirroring the sharp decline in the performance of meme coins. The coin was down by 6% and traded at $0.0000158 at the time of writing. The dog-themed meme coin has declined by 16% in the last week and is down by 25% year-to-date, underlining a strong bearish hold of the market.
Bears In Control But Whales Hold Key to SHIB Price Recovery
The downward momentum on SHIB price is affirmed by its trade below the Volume Weighted Moving Average (VWMA) level on the daily chart. SHIBUSD dropped to six-month lows on Monday before recovering to end the session with 8.3% in daily gains. However, Tuesday’s drop saw it wipe out most of those gains, swinging the momentum to the downside.
Whale activity is critical to determining Shiba Inu price trajectory. According to analytics site, CoinMarketCap, whales (those with over 1% of total supply) own 58.13% of SHIB tokens. Therefore, the coin’s recovery will largely depend on whale activity in the coming days. In the medium term, SHIB will need to hold above the $0.0000125 mark, which has served as the support level for the last year.
Shiba Inu Price Prediction
Shiba Inu price pivots at $0.0000160, and resistance at that level will signal control by the sellers. Immediate support will likely be at $0.0000150. However, a stronger momentum will break below that level and potentially test $0.0000143.
Alternatively, moving above $0.0000160 will favour the buyers to take control. If that happens, SHIBUSD will likely move higher and encounter resistance at $0.0000165. The downside narrative will be invalid if it breaches that level. Meanwhile, the resulting momentum could take the coin higher, with the second resistance coming at $0.0000172.
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